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The difference between the debt of the branch company and that of the head office

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Source: Legal Chart Compilation · 2024.02.24 · 11900 people have seen it
Guide: Only when the amount of creditor's rights is huge or the property managed by the branch company is not enough to bear civil liability, or the disputes generated are more complex and exceed the authority of the branch company to dispose, the company should be listed as a co defendant, and the head office will bear the debts.
 The difference between the debt of the branch company and that of the head office

branch office The property of is the property of the head office enterprise legal person. The branch does not have the legal person status debt Aspects, points Corporate debt It should be borne by the corporate entity of the head office, and when the branch office is unable to repay its debts, it can use the property of the head office to repay. Here is Nomogram The small editor of the website provides you with Debt assumption I hope I can help you with the information about.

The head office, as a legal person, has the status of enterprise legal person, while the branch office does not generally have the status of legal person. The differences between the two and how to bear the debts are as follows:

1. When an enterprise as a legal person is unable to repay its debts, it may use the assets of its branch without legal personality to pay off its debts.

The Reply of the Supreme People's Court on whether an enterprise as a legal person can enforce the property of its branch when it is unable to repay its debts (Fa<Jing>Han [1991] No. 38, April 2, 1991) clearly replied that the business activities of an enterprise as a legal person are embodied in the business activities of its branches, and the property operated and managed by a branch is the property operated and managed by an enterprise as a legal person or the property owned by an enterprise as a legal person, It is still undertaken by the enterprise legal person civil liability The material basis of. A branch of an enterprise as a legal person may be ordered to repay the debts of the enterprise as a legal person.

2. The debts of a branch of an enterprise as a legal person without the legal person status shall be borne by the enterprise as a legal person.

(1)《 company law 》Article 13 stipulates: "The Company may Establishment of branches The branch does not have the status of enterprise legal person, and its civil liability shall be borne by the company. "

(2) Article 107 of the Opinions of the Supreme People's Court on Several Issues Concerning the Implementation of the General Principles of the Civil Law of the People's Republic of China; "Branches of enterprises without legal person status shall sign contracts in their own names Suretyship contract Generally, it shall be deemed invalid. However, if the branch is solvent, it shall bear the property liability arising therefrom; If it is insolvent, it shall be borne by the enterprise legal person. "

(3) The Supreme People's Court's Decision on the Action of Branches of Enterprises without Legal Person Status Business contract Insurance of one party witness , the reply of "Whether the guarantee contract is valid and how to deal with the problem in case of dispute" (March 24, 1988): in this case, the guarantee should be recognized Invalidation of contract "If a branch of an enterprise as a legal person has no capacity to perform or compensate on its behalf litigation The enterprise legal person shall be listed as the litigant in the lawsuit and bear the civil liability that the witness should bear. "

Since the branch company does not have independent legal personality, many capacities will be limited and the head office will bear the responsibility. The above is all the information provided for you by the small editor. If you still have some questions about the above content or need to know more about it, you can find it online at LATU lawyer Consultation, we can provide you with solutions according to the actual situation, thank you for reading!

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